Tata Motors shares fall over 6% intra day on Q1 earnings
The stock tumbled 6.11 per cent to Rs 248 on BSE intra day. It was the worst hit among the 30-Sensex blue chips. On NSE, shares of the company dropped 5.33 per cent to Rs 250.
The Tata Motors stock fell over 6 per cent in trade today after the company reported a consolidated net loss of Rs 1,862.57 crore for the first quarter ended June 30. The stock tumbled 6.11 per cent to Rs 248 on BSE intra day. It was the worst hit among the 30-Sensex blue chips.
On NSE, shares of the company dropped 5.33 per cent to Rs 250.
The stock pared losses in afternoon trade and closed merely 0.13% higher at Rs 264.50 compared to previous close of 264.15 on the BSE.
On the NSE, the stock closed 0.11% or 0.30 points higher at 264.40.
The stock has gained after two days of consecutive fall.
It is down over 38% since the beginning of this year and has fallen over 40% during the last one year.
Jefferies has cut price target to Rs 355 from Rs 440 and maintained "buy" rating of the stock. It said while this might seem like a one-off (hurt by China import duty cut), such disappointments have been a recurring issue for JLR in a weak environment
Credit Suisse too cut price target to Rs 440 from Rs 460 and maintained its "outperform" rating on the stock.
26 of 39 brokerages rate the stock "buy" or 'outperform', 11 "hold" and two "underperform" or "sell", according to Reuters.
The Tata Group firm on Tuesday reported a consolidated net loss of Rs 1,862.57 crore for the first quarter ended June 30, dragged down by multiple challenges that its British arm JLR faced in major markets, including China, UK, Europe and the US.
The company had reported a net profit of Rs 3,199.93 crore in the April-June quarter of 2017-18.
Total revenue from operations, however, rose to Rs 67,081.29 crore as compared with Rs 59,818.22 crore in the year-ago period, Tata Motors said in a regulatory filing.
On a standalone basis, the company reported a net profit of Rs 1,187.65 crore. It had reported a net loss of Rs 463.14 crore in the first quarter last fiscal.